I'm anxious to start my real estate business partnering with my brother-in-law. We recently attended a three-day Workshop hosted by Fortune Builders. We learned a lot of valuable information and took a lot from it. Of course they were selling us a package to make us successful in the business. Although I know it's a sales pitch, I'm still humble enough to know we are such beginners and would benefit from mentorship. Obviously I'm not going to pay 30 to $50,000 for their mentorship but they offer smaller packages. One of their team members I've been emailing back and forth with about getting mentorship on wholesaling to raise capital. I feel like learning how to successfully wholesale is a good foundation of real estate and will give us a good start on at least understanding more about the business. Although it's a lot smaller price than $50,000, it's still a $500 investment they want us to make to partner with them for 3 months. Does this sound like a good idea to get a little mentorship? I'm very serious about starting up and my brother-in-law is as well, but if my $500 could be spent towards my business in a more effective way I would rather do that as well. I just know anybody successful out there almost always seem to have some type of mentor. If I knew someone in my own local market who I could apprenticeship under I would much rather do that. But I have yet to meet or reach out to anyone in my area. I'm very much a planner and never do anything on a whim, so I'm trying to start this off with guidance so I don't get us in trouble we're in over our heads. Any thoughts or advice would be very much appreciated
@Brittany Goree attend the webinar tomorrow on BP the price is right, free. Unless you can close on a deal wholesaling is selling real estate without a license and you could be prosecuted. The calculator will be your best friend. There is one on BP you can use for free for 5 times. Join the pro and have unlimited use. If you attend the webinar they will give you a discount to become a pro member. It takes money to be in real estate. Unless you are going to house hack you will need at least 20% down. You can find local investors by going to meetup.com , type in real estate and how far you are willing to travel. You can find a team, agent, lawyer, property management, insurance and contractors. I have to travel at least 1 1/2 hour to go to my meetup. You might find a hard money lender or someone to partner. Most everything you need can be found on BP. You can also find people in area by using the search function. Good luck
Hey Brittany, great question! I am sure many investors who are looking to take their first steps feel the same way you do...I did! I think you are on the right track and the question of how much you should "invest" to be on that track is very much appropriate. There are many groups and "gurus' out there that will give you some solid information (sometimes not). Since you are taking your first steps have you and your brother looked into local Real Estate meetups? Not sure where you are located, but you might do a search on local real estate meetups and see what local real estate groups are available to you. Many of these groups are new or seasoned investors who know just as much as these $50k program 'gurus." If you are wanting to invest $500 or so, you might look into LifeStyles Unlimited. I went to a few of these group meetings and they seemed pretty legit; they do have a membership of like $500-$750. I think they do have other tiers you can join (for thousands and thousands of $). I will say many of the people I came across in the paid groups like Lifestyles were the same people going to the free meetups. You may be able to apprentice or shadow someone in the free real estate groups so you won't need to invest thousands and thousands of dollars:) Hope this helps!
Find a local mentor. Attend local REIA meetings, local seminars, meetups as @Tim Herman had mentioned. It’s all about networking and recommendations. It will take some effort on your part. Find a mentor who aligns with your investor ID. Similar philosophies. I just attended a local 2 day event “Midwest Real Estate Networking Summit” in Chicago. Made a number of contacts. Find some local events through BP site and your local area. Google REIA, meetups, etc. Avoid the Guru, although you can gain a lot of information, a local investor will be more hands on and you can see, touch and feel projects he is working on. Maybe partner on the first deal or two for education and knowledge.
@Kenneth Garrett thank you so much. I've been doing a lot of googling and hoping I can attend something local. I'm in camdenton Missouri, just outside of the lake of the Ozarks. Other than it being a tourists destination, it's kind of a small town. It looks like kansas city, MO would be the only area in my state, at least that I can research. I guess that's why I originally considered more of a digital mentorship since my area isn't necessarily the hotspot for a Real Estate Investors. I don't want to ask too many newbie questions, but would maybe contacting some realtor friends of mine have some connections? Or do realtors hate when people ask for the investor side of Real Estate?
@Patrick Perez thank you very much. I'm definitely trying to reach out to my community. Id much rather have someone real i can touch and feel to mentor me or at least be a source for questions. As i mentioned above, its not a huge town I live in, so i think that's been my struggle.
@Patrick Perez I joined Lifestyles Unlimited in 2011 and it has changed our lives.
I tell everyone the basic membership is a complete no-brainer, the best education for the buck. Totally worth it. And, it is not a high-pressure upgrade organization. Many members stay at the basic membership.
You can learn a great deal by listening to podcast. I listen to a number of them from syndication, sfh to 4 units, rental, to multifamily, flipping etc. You will learn the lingo and be able to hold conversations even if your a beginner. It’s all about education. To be a CPA or lawyer you go to school. Same thing with Real Estate.
Ohh, gotcha! If you are up for a road trip there are real estate meetups in St. Louis and Springfield---this may be the best way to rub elbows with other like minded investors; perhaps they know folks in your area:)
@Greg Scott Awesome! I have really considered joining Life Styles this year, I've been to a few of their events and really liked what they had to offer.
@Patrick Perez that's a great suggestion. Thank you so much. I will try to look into something in Springfield. That's a little closer to my market!
@Brittany Goree I'm new to all of this too so I'm not sure if you can look under the Network tab and see Events. There's a meeting happening in Springfield next Tues the 11th! I plan on attending the local one here in KC to hopefully make some connections. Networking and developing your team is a common thread in all of the REI education I've been trying to absorb lately. Blessings!
@Clifford R Fowles where did you find that? That's awesome!!
Be very careful who you pay for coaching. I have had a few coaches, some that I paid an absurd amount of money for and they were terrible. My best coaching has come from building personal relationships and didn't cost me a dime. Find someone who is actually doing deals like you want to do and find a way to be of value to them in their business.
Join a dues based local investing club. I have been a member of one for years and know several dozen people who have spent money and I mean $30,000 to $50,000 money, it wasn't worth it in any case. So spending less on a smaller package is only meant to be a segue to spending more.
Hi Brittany. I live in Springfield, MO. The monthly REIA meeting is later this week (6/20), I believe. Your first meeting is free and a yearly membership is $200/couple (I think). Fortune Builders (imo) is a HUGE investment upfront. But like any education, you are only going to get out of it what you put into it.
Wholesaling is one way to get your feet wet with regards to RE investing. There is a local crew here in Spfd that have made a great business for themselves wholesaling properties to investors. I also have a friend in St. Louis that does about 8-14 deals/month wholesaling. He regularly teaches courses on breaking into your local market.
Feel free to reach out if you want further information on getting started.
Hi Brittney, I started learning about real estate investing less than a month ago and I jumped in headfirst. We're from Vegas but my husband is working here in Springfield MO for 3 months so I looked at properties with a realtor and next thing I know...BOOM...I got an LLC and now buying a duplex. I'm no expert, in fact, I'm a stay at home wife who struggles with anxiety and depression, but I love real estate and I am so willing to learn. Don't let fear stop you but you're on the right track in wanting to learn from others. If you want to meet-up, let's do coffee or lunch here in Springfield and let's encourage each other!
Hi @Brittany Goree I'm looking to expand wholesaling business to the Lake of the Ozarks. Although we have a second home there could use someone local to partner with. I'm very familiar with the Fortunes Builders programs one of my business partners traveled the country teaching and selling from the front of the room for them.
@Julie Dillon Hey! Just a quick question, why did you create an LLC for buying a duplex? Is that a requirement? I thought duplex was still considered a residential home (up to quadplex). I am also in the market for multifamily homes and want to be sure I am doing it right. Thank you in advance for your assistance.
Hi Jessica! You dont need an LLC, you can absolutely buy any kind of property in your own name. There are 2 main advantages...First its great because L.L.C. means Limited Liability Company and as the name implies, it limits your losses in case someone decides to sue you if they get hurt on your property. If they sue and you have to pay, they can only get your assets in your company not your personal assets like your home, car, your personal bank account, etc. So an LLC is great from a legal standpoint. Second, an LLC is even better from a tax standpoint. You would now have a small business that is taxed completely different than your personal taxes. Your tax rate is much lower and you have so much more deductions. I'm NOT an expert on either taxes or legal issues but I've learned a ton from experts in the field by listening to podcasts, YouTube videos, etc.
Search YouTube for the Rich Dad channel and look for videos on LLC'S, taxes, Cashflow Quadrant to get you started. It's going really open your eyes like it did mine. I've also learned a lot from Morris Invest videos. They teach how to be a Real Estate Investor but they also have a separate company that buys property for you but just listen to the videos.
I hope this helps. I'll be happy to share my journey since I'm in contract now for a Duplex.
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you